Alibaba Firms, Nio, Xpeng Surge: Hang Seng Opens 3% Higher After China Eases COVID-19 Curbs

Hong Kong stocks opened in the green on Monday, with the benchmark Hang Seng rising over 3% in morning trade, after China eased some of its harsh COVID-19 rules. The country reduced quarantine by two days for those who come in close contact with infected people, and for inbound travelers, and also scrapped a penalty for airlines for bringing in many cases.

Shares of Xpeng gained over 13%, while Nio stock shot up over 8% in morning trade. Alibaba shares gained over 1%.

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Macro News: Chinese Premier Li Keqiang said the country’s economy has grown 3% over the past three quarters and is stabilizing on an "upward trend" while he vowed to continue supporting the economy with policy measures, reported Reuters.

China reported 14,878 new COVID-19 infections for Nov. 12, which include a record number of new daily cases in Beijing, as well as in manufacturing hubs Guangzhou and Zhengzhou, reported Reuters.

Company News: Alibaba has decided not to disclose full sales results for its Singles’ Day shopping festival for the first time, following forecasts the figure may witness a decline for the first time in the event’s 14-year history, reported Bloomberg.

Apple Inc AAPL supplier Foxconn Technology Co Ltd FXCOF is looking forward to quadrupling its workforce at its India iPhone factory over two years, reported Reuters, citing sources.

Top Gainers and Losers: Country Garden Services Holdings Company Limited and Longfor Group Holdings Limited are among the top gainers among Hang Seng constituents, having risen over 23% and 20%, respectively. Meituan was the only loser, having shed 0.44%.

Global News: U.S. futures traded in the red on Monday morning Asia session. The Dow Jones futures were down 0.23% while the Nasdaq futures lost 0.45%. The S&P 500 futures were trading lower by 0.27%.

Elsewhere in Asia-Pacific, Australia’s ASX 200 was up 0.04%. Japan’s Nikkei 225 traded 0.78% lower while China’s Shanghai Composite index was up by 0.64%. South Korea’s Kospi gained 0.22%.

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